Category Archives: Consumer View

Property Investment Partnership

house invest scaleMessage to Investors 

We are always looking to work with like-minded people who are looking to network and grow long term wealth. We specialize in all types of transactions and would be more than happy to work with you in regards to accomplishing your investment needs.

For instance, if you like the idea of being a property investor but are not sure where that fits into your current schedule we have developed a great team of people to help achieve your goals.

Investor Requirements:

-Equity to stay in the property for a minimum of 7 years

-Return from loan payoff and increased value in the property rather than return on equity

-Personally guarantee loan along with other partners

-Investors will be passively involved in the management of the property

-Initial equity to equal 20-25% of the property purchase price

If you would like to give us a better understanding of what you may be looking to accomplish in your investment goals please fill out our risk-free contact form located below or feel free to call our team.  We can be reached directly at (314-472-3684).  We look forward to hearing from you and creating a positive, prosperous, working relationship with you.

Sincerely,
Doug Haldeman

314-472-3684

John Muller

314-568-5296

 

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The Waiting Period After Foreclosure, Bankruptcy, or Short Sale

waiting period chartIf you have lost your home through a foreclosure, short sale or bankruptcy and want to get another mortgage loan, you may be wondering how long you’ll have to wait. Your credit will take a hit after all of these situations, although possibly not as much as you think or for as long as you may think. Nevertheless, it will likely prevent you from getting another mortgage right away. The amount of time you must wait before applying for a new mortgage loan depends on the type of lender and your financial circumstances.

2017 FHA GUIDELINES

  • Bankruptcy – You may apply for a FHA insured loan after your bankruptcy has been discharged for TWO (2) years with a Chapter 7 Bankruptcy.  You may apply for a FHA insured loan after your bankruptcy has been discharged for ONE (1) year with a Chapter 13 Bankruptcy
  • Foreclosure – You may apply for a FHA insured loan THREE (3) years after the sale/deed transfer date.
  • Short Sale / Deed in Lieu – You may apply for a FHA insured loan THREE (3) years after the sale date of your foreclosure. FHA treats a short sale the same as a Foreclosure for now.
  • Credit must be re-established no late payments in past 12-24 months, depending on hardship

Application Date must be after the above waiting period to be eligible for FHA financing after hardship.

2017 VA GUIDELINES

  • Bankruptcy Ch 7 – You may apply for a VA guaranteed loan TWO (2) years after a chapter 7 Bankruptcy
  • Bankruptcy Ch 13 – If you have finished making all payments satisfactorily, the lender may conclude that you have reestablished satisfactory credit.
    • If you have satisfactorily made at least 12 months worth of the payments and the Trustee or the Bankruptcy Judge approves of the new credit, the lender may give favorable consideration.
  • Foreclosure – You may apply for a VA guaranteed loan TWO (2) years after a foreclosure
  • Short Sale / Deed in Lieu – You may apply for a VA guaranteed loan TWO (2) years after a short sale, unless it was a VA loan then restrictions apply
  • Credit must be re-established with a minimum 620 credit score

Application Date must be after the above waiting period to be eligible for VA financing after hardship.

2017 USDA GUIDELINES

  • Bankruptcy – You may apply for a USDA rural loan THREE (3) years after the discharge of a Chapter 7 or 13 Bankruptcy –
  • Foreclosure – You may apply for a USDA rural loan THREE (3) years after a Foreclosure –
  • Short Sale / Deed in Lieu of Foreclosure – If you had big issues the deed in lieu of foreclosure will be viewed as a foreclosure and you would want to wait no less than 3 years if the score is under 640.  Over 640 your UW will make the call but typically not less than one year.
  • UPDATED 12/2014 – Mortgage debt included in Bankruptcy will go by BK discharge date, and subsequent foreclosure, short sale, or deed in lieu of foreclosure will not count as an additional waiting period, as long as you are off title for any defaulted mortgages.
  • Link to 12/1/2014 USDA Guideline – HB-1-3555  Attachment 10-B  See Page 4 of 6

Date of Credit Approval must be after the above waiting period to be eligible for USDA financing after hardship.

2017 CONVENTIONAL (FANNIE MAE) GUIDELINES

  • Bankruptcy – You may apply for a Conventional, Fannie Mae loan after your Chapter 7 bankruptcy has been discharged for FOUR (4) years, TWO (2) years from the discharge of a Chapter 13
  • Foreclosure – You may apply for a Conventional, Fannie Mae loan SEVEN (7) years after the sale date of your foreclosure.  Additional qualifying requirements may apply,
  • Short Sale / Deed in Lieu of Foreclosure –
    • UPDATED – Effective 7/29/2014:  Waiting period for subsequent foreclosure that was included in Bankruptcy is waived.  If mortgage is included in Bankruptcy, waiting period defaults to FOUR (4) from the discharge date.
    • UPDATED – Effective 8/16/2014:  Short Sale or Deed in Lieu of Foreclosure not included in a Bankruptcy has a new Waiting Period of FOUR (4) years from date your name is removed from title.  This replaces the ability to buy in 24 months with 20% down payment and minimum 680 credit score.
    • SEVEN (7) Years above 90% Loan to Value | with less than 10% Down Payment – Subject to Private Mortgage Insurance underwriting guidelines.

Credit must be re-established with a minimum 620 credit score.

Click Here to Contact Doug Haldeman

Fannie Mae has reduced waiting periods in cases of extenuating circumstances – The death of a primary wage earner seems to be the only one I have been able to identify up to this point.

Date of Credit Report must be after the above waiting period to be eligible for Conventional financing after hardship.

2017 JUMBO MORTGAGE GUIDELINES

  • Bankruptcy – You may apply for a Jumbo mortgage loan once any chapter of bankruptcy has been discharged for FOUR (4) years, FIVE (5) years if multiple bankruptcy occurs on credit profile.
  • Foreclosure – You may apply for a Jumbo mortgage loan SEVEN (7) years after the sale date of your foreclosure.  Additional qualifying requirements may apply,
  • Short Sale / Deed in Lieu of Foreclosure – You may apply for a Jumbo mortgage loan:
    • SEVEN (7) Years from Short Sale or Deed in Lieu of Foreclosure with Maximum 80% Loan to Value
    • NOTE: There are investors out there that will allow you to buy again in FOUR (4) years after a short sale, but expect higher rates, higher fees, and possibly larger down payment requirement.  Jumbo lenders have not yet loosened up the qualifying guidelines for buying after a hardship.
    • It may make financial sense to consider a portfolio Jumbo lender that offer high rates, so that you can take advantage of today’s market.  Once your short sale is seasoned, refinance into a more favorable, longer term loan.

NOTE:  If hardship is the result of an extenuating circumstance, waiting periods may be reduced.  Contact lender for details.

PREPARING TO BUY AGAIN

You should begin looking at your credit at least six (6) months before you are ready to buy again.

Quite often there are things left over on your credit report that can delay your ability to qualify.

With a little head start and good advice, you can get your credit in line, qualify for financing and buy again in the lowest priced real estate market that California has seen in years and years!

We specialize in these situations so feel free to drop me an email, call or leave a question below.

The Waiting Period Chart

Doug Show Card

7 Mistakes Millennials Make in Home-Buying

7 Mistakes Millennials Make in Home-Buying

 

Millennials – they’re the generation between 18 and 35; the new young professionals; the recent graduates, and they’re also coming into the housing market in droves. Usually, they’re also first-time homebuyers, which means that they have the potential to make mistakes in the home-purchasing process.

Here are the top seven mistakes millennials make when they purchase a new home. Whether you consider yourself part of the generation or you’re just looking to ensure your home search goes as smoothly as possible, these tips should help any potential homebuyer.

 

Continue reading 7 Mistakes Millennials Make in Home-Buying

What Is Holding You Back From Financial Freedom

money-flying-out-the-window
Financial freedom doesn’t mean watching it fly out the window.

Money Sabotage

Your financial freedom is just around the corner.  You just have to choose the path that doesn’t hold you back.  While money can certainly buy you plenty of things, it can offer you something far more valuable than material things.  The more money you acquire and properly pour into channels that can support you now and into the future.  When you do this the more freedom you have to make choices based on desire and not financial obligation or necessity.

Continue reading What Is Holding You Back From Financial Freedom

Credit Lessons Your Parents Didn’t Teach You

Doug-Show-CardCredit Lessons

Paying interest is really painful.  It can be difficult to take the wisdom from the generations that lived through their life lessons.  When it comes to analyzing your parents credit it just may help you understand what not to do or what to do.

Here are some lessons we wish our parents had shared:

Continue reading Credit Lessons Your Parents Didn’t Teach You

Is Your Bank Account Leaking Money?

leaky-boat
Is your bank account leaking money?

Is Your Bank Account Leaking Money?

When was the last time you really looked at your bank account?  It is easy to miss small amounts of money  every month until you get declined or a check bounces.  When this happens it creates awareness around your money situation.

Here are a few ways that you can plug the leaking:

Continue reading Is Your Bank Account Leaking Money?

Shopping Around For a Mortgage?

Shopping Around For A Mortgage

Here’s the inside scoop on how to do it right!

First:  Are you working with a TRUE Mortgage Professional?

The largest financial transaction of your life is far too important to place into the hands of someone who is not capable of advising you properly and troubleshooting the issues that may arise along the way.  But how can you tell? If your shopping just rates, seriously consider the fact that the lowest bidder is handling the largest debt you will likely ever take on.

 The following 4 simple questions are ones that your lender must be able to accurately answer. If they can’t run, don’t walk away. Continue reading Shopping Around For a Mortgage?

Tesla’s New Solar Roof Tiles For Homes

Tesla Solar Roof Shingles
Tesla Solar Roof Shingles-Consumer Report Photo

Tesla’s Solar Roof Tiles Get Approved

Tesla Motors (TSLA) and SolarCity (SCTY) shareholders had voted to approve the companies’ $2.6 billion tie-up.  Elon Musk told investors that the new clean energy behemoth would now be able to provide homeowners with a solar roof that costs less than a traditional roof before factoring in the savings from energy generation.

“It’s looking quite promising that a solar roof actually cost less than normal roof before you even take the value of electricity into account,” he said in a speech after the vote was called. “So the basic proposition would be ‘Would you like a roof that looks better than a normal roof, last twice as long, cost less and by the way generates electricity’ why would you get anything else.”

Continue reading Tesla’s New Solar Roof Tiles For Homes

What’s Happening With Auto Premiums

Elaine Mahr Farmers Insurance Agent
Elaine Mahr Farmers Insurance Agent

Auto Premiums Going Up

Americans are driving more, thanks to rising employment and cheaper gasoline. But that also means they’re getting into more accidents — and that’s leading to higher insurance premiums.

Of course, it’s not just a matter of more people cruising the roads. Unsafe behavior also may be contributing to a national accident problem, according to research released by the AAA Foundation for Traffic Safety. A report by the Department of Transportation found about 94 percent of drivers engaged in at least one risky behavior while behind the wheel within the past month, including using cell phones or not wearing seat belts.

Size of claims

The size of claims — which in industry lingo is called “claims severity” — is trending higher and affecting several auto insurance companies. Rising costs for medical care and auto repair are big drivers of increasing claims severity. The increasing price of auto parts contributes as well.

But critically, there are more personal auto claims as a result of Americans driving more miles. That trend, which is closely watched by industry analysts, can hurt the profitability of the insurance companies.

How do we mitigate cost?

  • Talk to Elain Mahr  today!  314.238.0055
  • Review Policy
  • Increase Deductible
  • Evaluate your car.  You can visit sites like www.nada.com or Kelly Blue book
  • Decide if you need Full or Liability Insurance
  • Good Student Discount

 

Business Insurance 101 with Insurance Expert Elaine Mahr

Elaine Mahr Expert Contributor show cardBusiness Insurance 101 with Farmers

Protecting your business is good business. Having the right insurance can be the difference between surviving a calamity and losing everything. Many business owners have learned the hard way that a lawsuit, theft, accident or natural disaster can wreak havoc on their companies.

Business Owner’s Policy

Often referred to as BOP, a business owner’s policy rolls multiple types of insurance into a single policy. Usually this is at a lower cost than buying each type of insurance individually. A business owner’s policy might include business property, business interruption and general liability coverage.

General Liability

This coverage helps protect your company if someone is injured at your place of business. I also covers if injuries or damage result from the use of your products or services. It can help shield your business from situations that could be perceived as negligence. Most general liability policies cover financial obligations such as medical costs, as well as legal defense expenses and settlement awards if your business is sued.

Professional Liability

Also known as errors and omissions insurance, this type of insurance helps protect your company from claims that its malpractice or negligence damaged a client or other third party.

Business Property

This insurance covers loss and damage to leased or owned company property resulting from a variety of events, such as fire, wind or vandalism. An “all risks” business property policy covers loss and damage from a range of sources, while a “named peril” policy specifies the types of hazards it covers.

Cyber Liability

Customers and employees trust you to store their information. From billing information to social security numbers. If someone stole that data, how would that impact your business?

For every time a company like Target gets hacked there are dozens of smaller companies that suffer data breaches.

Cyber liability insurance can cover you for the expenses you incur from a data breach.

Expenses such as…

  • Fixing the breach
  • Loss of income
  • Notifying your customers
  • Public relations
  • Lawsuits

Business Vehicle

This type of policy protects your business against damage to an owned or leased vehicle that you or your employees use for business purposes. It also provides coverage if a third party claims bodily injury or property damage related to an auto accident.

Business Interruption Insurance

This policy guards against the effects that come from unexpected events and natural disasters that might otherwise cause your company to temporarily relocate or close. It helps businesses maintain cash flow while they replace equipment and repair physical damage to their facilities. It typically provides reimbursement for up to a year of lost revenue.

Umbrella Liability

This type of insurance fills any gaps left by the insurance that your company carries. For example, if your general liability policy has a coverage limit, an umbrella policy will cover losses that exceed this amount. It can also provide protection in areas excluded by other policies. The premium for an umbrella policy may be lower if you purchase it from the same insurer who provides your other policies.